Following Construction Spending's exuberant 2.2% MoM surge in April (revised to 2.1), May saw a fall-back-to-earth 0.8% gain (still better than expected). However, while Markit's Manufacturing survey tumbled, ISM's rose in May and now in June picked up again to 53.5 - its highest since January. Employment rose notably but New orders were only marginally higher and Production slowed. Rather stunningly, all the improvment in ISM is seasonal adjustments with the non-seasonally-adjusted data at its lowest since January. The question remains, is this good news enough to warrant a September rate cut - if we ignore everything else that is weak?
The excitment is over... but still rising
[3]
As ISM jumps in the face of Markit's survey tumble...
[4]
Under the covers the story is mixed at best...
[5]
As production plunged...
[6]
Wondering how ISM Manufacturing is so high? Simple - Seasonal Adjustments
[7]
Charts: Bloomberg
